Can you solve 12-28 for me. I saw some answers online but I do not think they are the correct answers. Thank you

12-26 Create an Excel spreadsheet for Brief Exercise 12-20 and demonstrate that the PV of the deprecia- tion deductions, when the income tax rate is 40%, is $3,218 (rounded to the nearest dollar). Given an after-tax discount rate of 12%, what tax rate (rounded to 2 decimal places, e.g., 38.712% = 38.71%) would be needed in order for the PV of the depreciation deductions to equal $4,000? Use the Goal Seek function of Excel. 12-27 Given the following attributes of an investment project with a five-year life: investment outlay, year 0, $5,000; after-tax cash inflows, year 1, $800; year 2, $900; year 3, $1,500; year 4, $1,800; and year 5, $3,200. (a) Use the built-in NPV function of Excel to estimate the NPV of this project. Round your answer to the nearest whole dollar. Assume an after-tax discount rate of 12.0%. (b) Estimate the payback period, in years, for this project under the assumption that cash inflows occur evenly throughout the year. Round your answer to one 1 decimal place. 12-28 Identifying Relevant Cash Flows; Asset-Purchase Decision This exercise parallels the machine-purchase decision for the Mendoza Company discussed in the body of the chapter. Assume that Mendoza is exploring whether to enter a complementary line of business. The existing business line generates annual cash revenues of approximately $5,000,000 and cash expenses of $3,600,000, one-third of which are labor costs. The current level of investment in this existing division is $12,000,000. (Sales and costs of this division are not affected by the investment decision regarding the complementary line.) Mendoza estimates that incremental (noncash) net working capital of $30,000 will be needed to support the new business line. No additional facility-level costs would be needed to support the new line-there is currently sufficient excess capacity. However, the new line would require additional cash expenses (overhead costs) of $400,000 per year. Raw materials costs associated with the new line are expected to be $1,200,000 per year, while the total labor cost is expected to double. The CFO of the company estimates that new machinery costing $2,500,000 would need to be purchased. This machinery has a seven-year useful life and an estimated salvage (terminal) value of $400,000. For tax purposes, assume that the Mendoza Company would use the straight-line method (with estimated salvage value considered in the calculation). Assume, further, that the weighted-average cost of capital (WACC) for Mendoza is 14% (after- tax) and that the combined (federal and state) income tax rate is 40%. Finally, assume that the new business line is expected to generate annual cash revenue of $3,600,000. Required Determine relevant cash flows (after-tax) at each of the following three points: (1) project initi- ation, (2) project operation, and (3) project disposal (termination). For purposes of this last calculation, you can assume that the asset is sold at the end of its useful life for the salvage value used to establish the annual straight-line depreciation deductions; further, you can assume that at the end of the project's life Mendoza will fully recover its initial investment in net working capital. Also, separately identify any irrelevant cost and revenue data associated with this decision